Politics
Politics Home Article | Could Andy Burnham Be About To Reform The Student Loan System?

James Purnell was VC at UAL for four years (Alamy)
6 min read
A Labour government under Andy Burnham could scrap the student loan system and replace it with a graduate tax or stepped repayment system.
James Purnell, who has been picked as Burnham’s chief of staff and was vice chancellor (VC) at the University of the Arts London for four years, has previously been outspoken about reforming the student loan system.
Just two years ago, while Purnell was still VC, UAL commissioned London Economics to model several alternatives to the student loan repayment system, including scrapping the student loan system and replacing it with “a real graduate tax”. Purnell resigned from his role later in 2024 following months-long student protests against the university’s stance on the war in Gaza.
Nick Hillman, former government adviser and now director of Higher Education Policy Institute (HEPI), told PoliticsHome that Purnell was “the most active vice chancellor on the issue of student finance and graduate repayments” while heading up UAL.
The current student loan system was created under the Conservative government, but the issue exploded onto the headlines earlier this year after Chancellor Rachel Reeves insisted that her decision at the November Budget to freeze the threshold at which ‘Plan Two’ graduates start to pay back their loans was “fair and reasonable”.
In a blog for the HEPI think tank in 2024 titled Fixing higher education funding should start with student loans, Purnell argued that “the whole [higher education] system desperately needs reform to ensure the sector’s long-term sustainability”.
As Purnell wrote in his essay, one option is to “scrap the student loan system entirely and replace it with a real graduate tax”.
“A tax tied to income, which no wealthy graduate would be able to pay their way out of, would be genuinely progressive,” Purnell said.
During his campaign for Labour leader in 2015, Burnham pledged to replace tuition fees with a “graduate tax” if he was elected.
Another option mooted by Purnell that, in his words, “would not require such a major overhaul of the system” is the introduction of a stepped repayment system.
Under the changes, higher earners would make repayments for more of the maximum repayment period, thereby subsidising a shortfall in repayments from low and middle-earning graduates. This would effectively mean that higher-earning graduates would pay back more money for longer.
Both of these methods would, Purnell argued at the time, allow for the reintroduction of maintenance grants, a move the Labour government later committed to in 2025.
Hillman told PoliticsHome: “On paper, the stepped repayment model is very progressive: the better you do from your education, the more you repay.”
“But it’s making the student loan system much more like a tax because it’s much less related to how much we borrow. It’s almost based on the idea of how much money can we squeeze out of the best-paid graduates? And it’s breaking that link with their actual borrowings.”
However, Hillman said that the context now has completely changed from when Purnell was doing this work two years ago.
“All those people who were complaining about the current student loan system earlier this year – and of course there was a Treasury Select Committee report on this just last week – they’re all arguing the loan system should become more like a loan and less like a tax.”
Hillman added: “The stepped repayment model is very similar to graduate tax, but the first six months of this year, the argument was all the opposite. It was ‘we hate the high interest rates. We hate the fact that we’re never going to pay off our loans’.”
Purnell also argued in 2024 that “uprating maintenance loans in line with inflation is something that can and should be done immediately”.
Speaking on a panel in the same year, he said that when he speaks to students, their “biggest” worry is “money now, it is not actually what they’re going to repay in the future”.
“The fact that maintenance support hasn’t kept pace with the cost of living is something that has to be fixed and I am amazed that it hasn’t.”
“In the report, there’s an option which looks at bringing in the living wage for students effectively… so there is an option there.”
In 2025, the government confirmed that maintenance loans for students would rise with inflation from the 2026-27 academic year, but MoneySavingExpert.com founder Martin Lewis warned the move was “still not enough”.
Speaking on a Times Higher Education (THE) podcast in 2024, Purnell insisted: “We need to help students while they are studying. The cost of living has become a really damaging barrier for too many students, particularly in London, and the amount of money that students get has not kept up with the cost of living crisis in the way that other areas of public spending have.”
VC of Manchester Metropolitan University Malcolm Press told PoliticsHome that incoming Prime Minister Burnham “is a very very well-known character in all sectors across Greater Manchester” and on campus “frequently”.
Press added that Burnham has “been very interested in student housing and also in student transport”. Press has also worked with Purnell in the past, and told PoliticsHome he believes Burnham’s incoming chief of staff Purnell is “in probably a unique position of having served as both vice chancellor of the university and a government minister”.
“So he’s well placed to understand the sector and well placed to understand the pressures that government ministers are under.”
Purnell’s influence on the higher education system in England stretches back to the last Labour government. In 1999, he co-authored a paper while in the No 10 policy unit for prime minister Tony Blair, recommending an increase in the number attending England’s universities, a recommendation that would later be adopted as government policy with the 50 per cent target.
In 2024, Purnell said that the country had “met the aspiration for a very large number of people to go to university”, but he feared “that that is now at risk partly because some politicians are going off the consequences of those decisions that they were a part of making in the first place when they are faced with the reality of what it means.” He also raised concerns about affordability and the knock-on impact on quality of teaching and class sizes.
Purnell has also previously called for increased investment in the teaching grant, with a more proportionate balance between money coming from the teaching grant and fees.
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Politics
Politics Home Article | Burnham Says It Is Labour’s Last Chance As He Is Crowned Leader

Andy Burnham speaks after being confirmed as the Labour Party’s new leader (Alamy)
4 min read
Andy Burnham has said this is the Labour Party’s “last chance to change” in his first speech as the party’s new leader.
At a special party conference in central London, Burnham said: “I will work to build a new politics. The country is crying out for it. We might enjoy the point scoring against others. The public don’t.”
“How can politicians point fingers when living standards are falling and politics as a whole isn’t working for them? It infuriates them and makes them switch off.”
He added: “Let’s be honest, everybody: this is a last chance to change, and we must take it together, united together.”
After two previous attempts to become Labour leader in 2010 and then 2015, he became Labour leader unopposed after winning nominations from 369 of the party’s 403 MPs. However, he will not become Prime Minister until Monday.
The MP for Makerfield returned to Westminster last month after a by-election victory which led to Keir Starmer’s resignation just days later.
Burnham paid tribute to Keir Starmer for transforming the party after the crushing 2019 general election and said he “put Labour back in a position to change people’s lives”.
The new Labour leader said the only way to beat the “new right” is to end factional in-fighting.
“Fighting to eradicate it and the insidious briefing culture that goes along with it will characterise my leadership,” he promised.
“In future, when a Burnhamite walks into a bar,” he said, joking about a well-worn Westminster gag, that they will say: “Great to see you. We don’t like factional politics here.”
Burnham promised to set an “authentically” clear direction for the party, accusing his Labour predecessors of being too much like the Conservatives.
He said: “As your leader, I will set a direction that is distinctively Labour. We won’t try to out-Green the Greens or out-Reform Reform or doing what we’ve done in the past of wearing too many Tory clothes. Let me tell you, I’m quite happy that Kemi doesn’t approve of my wardrobe choices because I’m not keen on theirs either.
“From here we do it differently. We win by being us, boldly, confidently, authentically us. Labour. That’s how we win. I want people to understand the thinking behind the political direction I set so people can see the decisions we take and the reasons why.”
With mounting speculation about who will be in his Cabinet and who will be Chancellor, the Labour leader says he has made no decisions yet.
“When I have you will see that it reflects all parts of our party, all communities and it will reflect your own place within this great place within this great party of ours,” he said.
“A stronger, more united Labour Party building up a stronger and more united Britain.”
Burnham pledged to “help places that built our party” and accused Margaret Thatcher of stripping power from Labour’s heartlands in the 1980s.
“Change starts with honesty. We must recognise that this generation of politicians, myself included, have failed to challenge a political culture and an economic model that simply doesn’t work well enough for ordinary people.
“Four decades of the neoliberalism that begun in the 1980s have not been kind to the places that built our party, nor to the communities across the UK, nor to the communities across the UK in rural and coastal areas.”
Burnham pledged to be a “pro-business” leader and to “re-industrialise” as he set out his vision for Britain.
“We want to give your area more power to build the council and social homes that you desperately need, more power to improve your high street, backing local businesses such as the pubs and the shops that bring them to life.
“And make no mistake, everybody, I will be a pro-business leader of the Labour Party as I was a pro-business mayor of Greater Manchester… and as part of that more power to re-industrialise.”
Burnham has promised to be a leader for “all places” of the UK as he laid out his devolution agenda.
“We will take power back from Westminster and Whitehall and give it to the place where you live. More power over life’s essentials so you can make them work better, and more affordable for people.”
The new Labour leader said he had made mistakes throughout his political career, but promised to give this new job “his all”.
“I haven’t got everything right, and I’m sorry for when I’ve fallen short. But I’ve always given it my all and I always will.”
He added: “I won’t change. I have a style, it’s my style, I will always stay close to the ground. Close to the people. Hopefully, still in my season ticket when the new season starts.”
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Politics
Politics Home Article | Government To Overhaul Civil Service Recruitment

The use of success profiles will be scrapped under changes to civil service recruitment (Alamy)
2 min read
Exclusive: The Cabinet Secretary is planning to overhaul civil service recruitment, scrapping the use of success profiles.
PoliticsHome understands that there will be a new model introduced that “emphasises skills and expertise”.
The expectation is that the move will more closely align civil service recruitment with the private sector and bring in more talent, PoliticsHome understands.
Currently, the civil service recruits using so-called “success profiles”, made up of “ability”, “technical”, “behaviours”, “strengths”, and “experience”. The civil service also has a set of defined “behaviours”, which “when demonstrated, are associated with job success”.
In an email to staff on Friday, Cabinet Secretary Antonia Romeo said: “We are going to start by scrapping success profiles, instead introducing a new model that emphasises skills and expertise – and will make further changes over the coming months.”
Romeo also said “to deliver for the public, my focus – and that of your Permanent Secretaries – has been to build a world-class civil service that is fit for the future.” The head of the civil service also referenced the Review into the organisation, performance and transformation of the permanent civil service”.
“The Review will define a clear vision for the civil service as a world-class organisation, delivering a onece-in-a-generation transformation.”
Romeo was appointed as the new Cabinet Secretary in February and is the first ever woman to hold the role. She replaced Sir Chris Wormald, who was awarded a peerage by the outgoing Prime Minister Keir Starmer earlier this week.
The civil service’s approach to recruitment has faced criticism in recent years for its rigidity, with the Institute for Government previously recommending the replacement of success profiles in order to test “more robustly whether applicants have the skills they say they do”.
The think tank has also criticised the current approach discouraging external candidates to apply for roles in the civil service.
The Cabinet Office has been contacted for comment.
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Politics
Politics Home Article | Social Media Training Expanded To More Civil Servants

Education Secretary Bridget Phillipson was criticised for collaborating with reality star Gemma Collins in a social media video in May (Alamy)
3 min read
The government is training more officials to film social media content themselves on iPhones as part of a wider Whitehall push to strengthen the government’s online messaging and reach audiences beyond traditional media.
The Department for Education is upskilling existing staff in social media and video skills, including rolling out training to private office staff so that they can make social media content themselves when accompanying ministers on visits, rather than having to hire more people onto dedicated social media teams.
The short training includes how to shoot pieces to camera and film using iPhones. Officials in a minister’s private office do not usually directly oversee social media communications; instead, they typically manage the minister’s time, diary, official paperwork, and departmental policy flow.
A Department for Education source said that training more officials with these skills would mean the department could “reach more of the public where they are”.
“More people are getting their news from social media than ever before,” they said.
“We’re unapologetic about reaching them in an innovative and accessible way with reliable and accurate information, whether it’s about schemes like free breakfast clubs that could ease their childcare costs, or recruitment campaigns to hire the next generation of excellent teachers.
“We’re often criticised in the media as a government for supposedly not having effective communications. This often misses the fragmentation of audiences and the need to flood the zone on many different platforms – and often different ones to where Westminster gets its news.”
This training is part of a wider communications shake-up across government, taking place across different Whitehall departments with support from No.10 and the Cabinet Office.
The Department for Education was the most active government Instagram account behind Downing Street last month, and also posts regular updates its YouTube channel.
Education Secretary Bridget Phillipson faced backlash in May when she took part in a video collaboration with TV reality personality Gemma Collins.
The Only Way Is Essex star, who has 2.3m Instagram followers, featured in a video where she walked into the DfE offices with the background music from film The Devil Wears Prada. The video also included a conversation between Collins and Phillipson about post-16 education and vocational courses, and was criticised by campaigners advocating for changes to the special educational needs and disabilities (SEND) system who argued it trivialised education during a time of “systemic failure”.
However, Phillipson dismissed the criticism as “outright snobbery and just downright unpleasant”, and the department has continued to defend the collaboration.
The department’s Instagram views are growing, and are up by 29 per cent on the previous month. Over 80 per cent of those who viewed the Collins video in the first few days were non-followers of the DfE account, with government sources believing this shows it was effective in reaching new audiences who do not usually engage with the government’s content.
Collins was not paid for the appearance, but the department has overall shifted some of its spending towards influencer marketing, having spent over £700,000 on social media influencers since 2024. According to a government source, £1 on social media reaches many more people than £1 spent on a physical billboard or magazine advert.
PoliticsHome previously reported that the Cabinet Office’s New Media Unit was being restructured to redeploy staff and resources in order to strengthen digital capabilities and expand online messaging across departments.
The reforms also reflect rising concern within the government about the spread of false or inflammatory far-right content on social media and the need to better combat it.
The New Media Unit’s work has included setting up new channels on social media networks such as Reddit, and inviting influencers to receptions in Downing Street and to participate in press conferences alongside traditional journalists.
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